POL ADMIN/SUPPLY CHAIN FUNCTIONS – THREE YEAR PAY AGREEMENT

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Letter to Branches




No: 932
Ref: 601
Date: 3rd November 2011

TO: ALL BRANCHES WITH POSTAL MEMBERS

Dear Colleague,

POL ADMIN/SUPPLY CHAIN FUNCTIONS – THREE YEAR PAY AGREEMENT 2011/14

I am pleased to announce that the Postal Executive has endorsed a three year, no strings attached, pay agreement for all members in POL Admin/Supply Chain functions. Whilst the agreement has taken some time to conclude I am convinced that our members will welcome the long-term benefits. The formal letter from POL containing the agreement is attached to this LTB.
The agreement is underpinned by the following minimum pay increases, which will be applied on 1st April each year:

Year 1
3.3%
(2011/12)
Backdated to 1st April 2011
Year 2
3.5%
(2012/13)

Year 3
3.25%
(2013/14)


These pay enhancements result in a fully compounded pay increase of 10.39% over the three years of the pay agreement. The pay rises are fully consolidated and pensionable and the headline rates above flow through to allowances and overtime rates.
LA1, PO and SO1 (Swindon Warehouse) grades will receive these headline pay increases (see attached agreement for details). Crew, PAs and CL5s (Swindon Warehouse) will receive the following:
1. CVIT – Crew Grades

Current Pay
- £432
Pay Increase
New pay rate
Year 1
£15
£447
Year 2
£15
£462
Year 3
£15
£477

2. POSTAL ASSISTANT (Admin and Supply Chain)

Current Pay
- £325
Pay Increase
New pay rate
Year 1
£14
£339
Year 2
£14
£353
Year 3
£14
£367

3. CL5 (Swindon Warehouse)

For our CL5 members, we have achieved full assimilation to the Postal Officer (Supply Chain) rate of pay, from 1st April 2011, thus making the CL5 grade redundant. This will greatly enhance the earnings of this grade:

Current Pay
- £19,868
Pay Increase
New pay rate
Year 1
£1,592 *
£21,460
Year 2
£751
£22,211
Year 3
£721
£22,932
* full assimilation into PO Grade

SO1 Grade (Swindon Warehouse)

For SO1s the current £740 per annum (£14.19 weekly) non pensionable pay supplement will now be made pensionable from 1st April 2011.

LGV Drivers

The CViT Skills Allowance for driving LGV and using CAT VIIIs in single person mode will be enhanced in year 1 in excess of the headline pay rate. For years 2 and 3 the headline rate will be applied. The total increases for year one are as follows:

From £8.64 to £13.42 per day (based on 5 day duty)
From £43.20 to £67.11 per week

New Bonus Scheme – Post Office Balanced Scorecard

A new annual bonus scheme will be introduced for Supply Chain grades, (excluding POL Admin members as they are already in receipt of a bonus scheme). The annual bonus potential is as follows:

£850 for on target performance for all Supply Chain grades, except PAs
£700 for on target performance for PAs

Exceptionally for year 1 only, £500 of the bonus will be paid following membership endorsement of this agreement. This payment is not applicable to non-Supply Chain Admin grades (POs and PAs) as their bonus arrangements have been negotiated separately and are already in place.

The new bonus will include a further “stretch” potential of up to 25% for performance in excess of the target (up to £175 for PAs and £212.50 for Crew).

The value of the bonus scheme will also be enhanced in years 2 and 3 as follows:


Year 1
Year 2
Year 3
All Supply Chain grades except PAs
£850
£880
£900
PA grades
£700
£730
£750


Balanced Scorecard Measures

The measures of the new bonus scheme are consistent with the managers’ scheme and designed to be linked to the “Post Office balanced scorecard” in Year one. The four areas the business needs to perform in to ensure a successful future are People, Customer, Performance and Financial. For years 2 and 3, the bonus will be based 50% on Post Office Scorecard and 50% on Supply Chain scorecard (which will be designed in the coming months following further discussions with POL). The measures of the scorecard are subject to change each year. Further details on the Post Office scorecard measures can be found in Appendix F of the attached pay agreement.

London Weighting
London Weighting will be increased by 3.5% (same as Royal Mail) and 3.25% for years 2 and 3 respectively. (1.4% for year 1 has already been applied to pay in line with the Royal Mail Business Transformation Agreement).

Ballot Timetable

There will now be an individual members’ ballot (one ballot covering all grades), with the following timetable:

Ballot opens - Monday 14th November
Ballot closes - Monday 28th November


Branches are encouraged to share this information with relevant members and further developments will be reported. Joint Statements are in the process of being agreed with POL, tailored for the respective pay groups.

If you have any questions in advance of the National Briefing on 9th November (refer to LTB 921), please email them to cbowers@cwu.org

Finally, I would like to thank branch officials, local reps and members for their support and patience.


Yours sincerely

Andy Furey
Assistant Secretary

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POL Admin/Supply Chain members to vote on pay deal

4th November 2011

Post Office Admin/Supply Chain workers will begin voting soon on a three-year pay deal which will see basic pay increase by over 10 per cent, and new bonus payouts ranging from £700 to £900 each year.

The comprehensive agreement, which has been negotiated between the CWU and POL, consolidates some existing payments and improves other allowances, and would be effective from April 2011, which means significant backdated lump sums for employees.

If the deal is backed in the ballot, which runs from 14-28 November, basic wages increase by at least 3.3 per cent this financial year, 3.5 per cent in 2012/13 and 3.25 per cent in Year Three.

CWU assistant secretary Andy Furey, who has led negotiations for the 1,400 members affected, is urging a Yes vote in the poll.

"Whilst the agreement has taken some time to conclude I am convinced that our members will welcome the long-term benefits," he said, adding: "The agreement has been unanimously backed by the union's executive and we're recommending a Yes vote in this forthcoming ballot."